Article 1(Purpose) #
The purpose of this Decree is to prescribe matters mandated by the Act on Ownership and Management of Condominium Buildings and matters necessary for the enforcement thereof.
Article 2(Boundary markers) #
(1) Boundary markers under Article 1-2(1)3 of the Act on Ownership and Management of Condominium Buildings (hereinafter referred to as the "Act") shall be installed on the floor using copper plates, stainless steel plates, stone, or other materials that do not easily corrode, sustain damage, or wear out, with a width of not less than 3 centimeters, and shall be made of materials different from the flooring materials of the sectioned stores.
(2) The color of the materials for boundary markers shall be clearly distinguished from the color of the building floor.
Article 3(Building number markers) #
(1) Building number markers under Article 1-2(1)4 of the Act shall be installed in a highly visible place on the floor within a sectioned store.
(2) The horizontal size of characters on a building number marker shall be not less than 5 centimeters, and the vertical size shall be not less than 10 centimeters.
(3) A layout plan showing the locations of sectioned stores shall be securely installed in a highly visible place at the entrance of each floor of a building.
(4) Article 2 shall apply mutatis mutandis to the materials and colors of building number markers.
Article 4(Scope of constructors) #
"Person prescribed by Presidential Decree" in the former part of Article 9(1) of the Act means any of the following persons:
1. A person who has completed the construction of all or part of a building;
2. A person awarded a lump-sum contract for the construction of a building by a person referred to in subparagraph 1 (limited to cases where the person referred to in subparagraph 1 is unable to assume warranty liability).
Article 5(Duration of warranty liability) #
"Period prescribed by Presidential Decree" in Article 9-2(1)2 of the Act means a period classified under the following subparagraphs:
1. Defects that occurred before the date from which the period begins to run under the subparagraphs of Article 9-2(2) of the Act: 5 years;
2. Defects that occurred after the date from which the period begins to run under the subparagraphs of Article 9-2(2) of the Act: As classified under the following items:
a. Structural or safety defects of a building, such as defects in land development works, reinforced concrete works, steel structure works, masonry works, or roofing and waterproofing works: 5 years;
b. Functional or aesthetic defects of a building, such as defects in building equipment works (including equipment works similar thereto) under Article 2(1)4 of the Building Act, carpentry works, windows and doors works, or landscaping works: 3 years;
c. Defects that can be easily discovered, replaced, and repaired, including defects in finishing work: 2 years.
Article 5-2(Notice convening meeting of management body by seller) #
(1) A seller under Article 9(1) of the Act (hereinafter referred to as "seller") shall, where he or she notifies a sectional owner to convene a meeting of the management body (referring to a meeting of the management body under Article 23 of the Act; hereinafter the same shall apply) to adopt bylaws and appoint a manager under Article 9-3(3) of the Act, give such notice in writing specifying the following matters: <Amended on Sep. 26, 2023>
1. The ratio of buyers who have completed registration of transfer of ownership among prospective buyers;
2. The fixed number of sectional owners required to request convening a meeting of the management body under Article 33(4) of the Act;
3. The fact that sectional owners shall convene a meeting of the management body within 3 months from the date of receipt of the relevant notice, and that if they fail to do so, the seller will convene a meeting of the management body without delay under Article 9-3(4) of the Act.
(2) Where a sectional owner has separately notified the seller of a place for receipt of notices, a notice under paragraph (1) shall be sent to such place and, where no such place has been notified, to the place where the section for exclusive possession owned by the sectional owner is located. In such cases, the notice under paragraph (1) shall be deemed to have been delivered at the time it would ordinarily have been delivered.
(3) A seller may prescribe, in a manner corresponding to the bylaws under Article 9-3(2) of the Act, that the seller may substitute the notice convening a meeting to sectional owners having an address in the building or sectional owners who have not designated a place for receipt of notices under paragraph (2) by posting the contents of the notice under paragraph (1) at an appropriate place within the building. In such cases, the notice under paragraph (1) shall be deemed to have been delivered when posted.
[This Article Added on Feb. 2, 2021]
Article 5-3(Formulation of repair plans) #
A repair plan formulated by a management body under Article 23 of the Act (hereinafter referred to as "management body") in accordance with Article 17-2(1) of the Act shall include the following matters:
1. The period covered by the plan;
2. Repair items and repair methods, including exterior wall repairs, rooftop waterproofing, replacement of water supply and drainage pipes, and improvement of windows and entrance doors;
3. The estimated repair cycle for each repair item;
4. The estimated repair costs during the period covered by the plan and the basis for calculation thereof;
5. The cycle for review of the repair plan;
6. Procedures for the use of the repair reserve fund under the main clause of Article 17-2(2) of the Act (hereinafter referred to as "repair reserve fund");
7. Other matters determined to be included in the repair plan by a resolution of a meeting of the management body.
[This Article Added on Feb. 2, 2021]
Article 5-4(Collection and accumulation of repair reserve fund) #
(1) Where the management body intends to collect the repair reserve fund under the main clause of Article 17-2(2) of the Act, it shall collect them separately from management fees.
(2) Unless otherwise prescribed by the bylaws under Article 28 of the Act (hereinafter referred to as the "bylaws") or by a resolution adopted at a meeting of the management body, the repair reserve fund shall be calculated and collected according to the ratio of shares held by sectional owners under Article 12 of the Act and shall be accumulated monthly during the existence of the management body. In such cases, the portion of the repair reserve fund calculated according to the ratio of the area of unsold section for exclusive possession shall be borne by the seller.
(3) Unless otherwise provided for in the bylaws or by a resolution of a meeting of the management body with respect to the method of depositing a repair reserve fund, it shall be deposited into an account opened in the name of the management body at a bank under Article 2(1)2 of the Banking Act or a post office.
(4) Where an occupant under Article 5(4) of the Act (hereinafter referred to as "occupant") pays a repair reserve fund on behalf of a sectional owner, the sectional owner shall pay the relevant amount to the occupant.
[This Article Added on Feb. 2, 2021]
Article 5-5(Report on appointment of manager) #
A person appointed as a manager under Article 24(6) of the Act shall, within 30 days from the date of appointment, submit a report on the appointment of a manager in the Form to the Special Self-Governing City Mayor, the Special Self-Governing Province Governor, or the head of a Si/Gun/Autonomous Gu (hereinafter referred to as "competent authority"), along with any of the following materials proving the fact of the appointment: <Amended on Sep. 26, 2023>
1. Minutes of a meeting of the management body under Article 39(2) of the Act;
2. The bylaws and minutes of the management committee under Article 11(2);
3. A court decision on a petition for appointment of a temporary manager under Article 24-2(1) of the Act.
[This Article Added on Feb. 2, 2021]
Article 6(Manager's duty to report) #
(1) Business affairs to be reported by a manager under Article 26(1) of the Act shall be as follows: <Amended on Feb. 2, 2021>
1. Matters concerning the contribution amounts and method of calculating expenses for the execution of business affairs of a management body, and the details of collection, expenditure, and accumulation thereof;
2. Matters concerning revenues obtained by the management body and the details of use thereof, other than those referred to in subparagraph 1;
3. Matters concerning the selection process of parties to and the terms and conditions of contracts concluded by the management body, such as a management entrustment contract;
4. Matters concerning the adoption, amendment, and repeal of bylaws and regulations made based on bylaws;
5. Matters concerning changes in officers and employees of the management body;
6. Matters concerning the preservation, management, and alteration of the site, sections for common use, and appurtenant facilities of a building;
7. Matters concerning judicial acts performed on behalf of the management body;
8. Other matters prescribed by the bylaws, regulations made based on bylaws, or resolutions adopted at meetings of the management body.
(2) Unless otherwise provided for in the bylaws, a manager shall report in writing the contribution amounts and method of calculating expenses for the execution of business affairs of the management body once a month to sectional owners and persons who occupy sections for exclusive possession with the consent of such sectional owners. <Amended on Sept. 26, 2023>
(3) A manager shall attend a regular meeting of the management body under Article 32 of the Act and report the main details of business affairs performed by the management body and the details of budgets and settlement of accounts.
Article 6-2(Scope of buildings subject to accounting audit) #
(1) "Building prescribed by Presidential Decree" in the main clause of Article 26-2(1) of the Act means a building falling under any of the following subparagraphs:
1. A building for which management fees (including usage fees paid by sectional owners or occupants, such as electricity bills and water bills; hereafter the same shall apply in this Article) collected from sectional owners in the immediately preceding fiscal year are not less than 300 million won;
2. A building for which the repair reserve fund accumulated as of the end of the immediately preceding fiscal year is not less than 300 million won.
(2) "Building prescribed by Presidential Decree" in the former part of Article 26-2(3) of the Act means a building falling under any of the following subparagraphs:
1. A building falling under any of the subparagraphs of paragraph (1);
2. A building that has not been subject to an accounting audit by an auditor under subparagraph 7 of Article 2 of the Act on External Audit of Stock Companies (hereinafter referred to as "auditor") for not less than 3 consecutive years including the immediately preceding fiscal year, and falls under any of the following items:
a. A building for which management fees collected from sectional owners in the immediately preceding fiscal year are not less than 100 million won;
b. A building for which the repair reserve fund accumulated as of the end of the immediately preceding fiscal year is not less than 100 million won.
[This Article Added on Feb. 2, 2021]
Article 6-3(Methods for selecting auditors and standards for accounting audits) #
(1) A manager required to undergo an accounting audit under the main clause of Article 26-2(1) of the Act shall, within 3 months after the end of each fiscal year, appoint an auditor to conduct an accounting audit for the relevant fiscal year. In such cases, where a management committee under Article 26-3(1) of the Act (hereinafter referred to as "management committee") is established in the relevant building, the auditor shall be appointed through a resolution of the management committee.
(2) A manager required to undergo an accounting audit under Article 26-2(1) or (3) of the Act may request the competent authority or the Korean Institute of Certified Public Accountants under Article 41 of the Certified Public Accountant Act to recommend an auditor. In such cases, where a management committee is established in the relevant building, the recommendation of an auditor shall be requested through a resolution of the management committee.
(3) A manager required to undergo an accounting audit under Article 26-2(1) or (3) of the Act shall, within 9 months after the end of each fiscal year, be subject to an accounting audit regarding the financial statements referred to in the following subparagraphs and the appropriateness of the operation of management fees:
1. A statement of financial position;
2. A statement of operating results;
3. A statement of appropriation of retained earnings or a statement of disposition of deficit;
4. Notes to financial statements.
(4) Accounting standards for preparing financial statements referred to in the subparagraphs of paragraph (3) shall be determined and publicly notified by the Minister of Justice.
(5) The accounting audit under paragraph (3) shall be conducted in accordance with the accounting audit standards under Article 16 of the Act on External Audit of Stock Companies.
[This Article Added on Feb. 2, 2021]
Article 6-4(Reporting results of accounting audit) #
(1) A manager who has undergone an accounting audit under Article 26-2(1) or (3) of the Act shall report the results of the accounting audit, such as an audit report, in writing to sectional owners and persons who occupy sections for exclusive possession with the consent of such owners within 1 month from the date the manager receives such results.
(2) The report under paragraph (1) shall be sent to the place separately notified to the manager by a sectional owner or a person who occupies a section for exclusive possession with the consent of such owner, or, if no such place has been notified, to the place where the section for exclusive possession owned by the sectional owner is located. In such cases, the report under paragraph (1) shall be deemed to have been delivered at the time it would ordinarily be delivered.
(3) Notwithstanding paragraph (2), the bylaws may determine that the manager's duty to report under Article 26-2(4) of the Act may be fulfilled by posting the results of the audit at an appropriate place within the building or by disclosing the results on a website. In such cases, the report under paragraph (1) shall be deemed to have been delivered when posted.
[This Article Added on Feb. 2, 2021]
Article 7(Composition of management committee) #
(1) Members of the management committee may be elected by constituency. In such cases, constituencies and the number of members of the management committee by constituency shall be prescribed by the bylaws. <Amended on Feb. 2, 2021>
(2) Where the bylaws provide otherwise regarding a resolution of a meeting of the management body on the election of members of the management committee under the proviso of Article 26-4(1) of the Act, the number of sectional owners and the ratio of voting rights shall be reasonably and equitably taken into consideration. <Amended on Feb. 2, 2021>
(3) The management committee shall have 1 chairperson, and the chairperson shall be elected from among members of the management committee, and Article 26-4(1) of the Act shall apply mutatis mutandis to the election thereof. <Amended on Feb. 2, 2021>
(4) A member of the management committee may be dismissed where any grounds prescribed by the bylaws exist. In such cases, paragraph (1) and Article 26-4(1) of the Act shall apply mutatis mutandis to the method of dismissing a member of the management committee, and "election" shall be construed as "dismissal." <Amended on Feb. 2, 2021>
Article 8(Grounds for disqualification of members of management committee) #
No person who falls under any of the following subparagraphs shall become a member of the management committee:
1. A minor or a person under adult guardianship;
2. A person who was declared bankrupt and has not been reinstated;
3. A person for whom 5 years have not elapsed since the execution of imprisonment without labor or heavier punishment was completed or exempted from execution became final and conclusive (excluding a person convicted of a criminally negligent offense);
4. A person for whom 2 years have not elapsed since the suspension period of a sentence of imprisonment without labor or heavier punishment expired (excluding a person convicted of a criminally negligent offense);
5. A person for whom 5 years have not elapsed since he or she was sentenced to a fine of not less than 1 million won in relation to the management of condominium buildings;
6. A person who has entered into a contract with the management body in relation to the business affairs of the management body, such as a management entrustment contract, or an officer or employee of such person;
7. A person who is in arrears for 3 consecutive months with the monthly dues to be paid to the management body.
Article 9(Convening of management committee) #
(1) The chairperson of the management committee may convene a meeting of the management committee whenever he or she deems it necessary.
(2) The chairperson of the management committee shall convene a meeting of the management committee in any of the following cases:
1. Where not less than 1/5 of the members of the management committee request so;
2. Where the manager requests so;
3. Where otherwise prescribed by the bylaws.
(3) If the chairperson of the management committee, upon receiving a request under paragraph (2), fails within 1 week to initiate procedures for giving notice convening a meeting to be held within 2 weeks from the date of the request, the person who requested the meeting may convene a meeting of the management committee.
(4) In order to convene a meeting of the management committee, a notice specifying the date, time, place, and purpose of the meeting in detail shall be given to each member of the management committee 1 week before the date of the meeting; provided, this period may be prescribed otherwise by the bylaws.
(5) A meeting of the management committee may be convened without undergoing the procedures for convening a meeting under paragraph (4) with the consent of all members of the management committee.
Article 10(Methods of resolution by management committee) #
(1) Unless otherwise prescribed by bylaws, proceedings of the management committee shall be resolved by the affirmative vote of a majority of the incumbent members of the management committee.
(2) No member of the management committee shall exercise his or her voting right in writing or through a proxy, except where any unavoidable ground exists, such as an illness or staying abroad.
Article 11(Operation of management committee) #
(1) Unless otherwise prescribed by bylaws, a person in the order of the following subparagraphs shall preside over a meeting of the management committee:
1. The chairperson of the management committee;
2. A member of the management committee designated by the chairperson of the management committee;
3. The eldest among the members of the management committee.
(2) A person who has presided over a meeting of the management committee shall prepare and keep minutes regarding the proceedings of the management committee.
(3) An interested person may request a person who keeps the minutes of the management committee under paragraph (2) to allow him or her to peruse the minutes of the management committee, or request the issuance of a certified copy thereof at his or her own expense.
Article 11-2(Supervision over management of condominium buildings) #
"Matters prescribed by Presidential Decree" in Article 26-5(1)6 of the Act means the following matters:
1. Matters regarding the preservation of bylaws under Article 30 of the Act (including cases applied mutatis mutandis under Article 52);
2. Matters regarding the preparation and retention of minutes of a meeting of the management body under Article 39 of the Act (including cases applied mutatis mutandis under Article 52);
3. Matters concerning the retention of records of a meeting of the management body in writing or as electronically recorded information under Article 41 of the Act (including cases applied mutatis mutandis under Article 52 of the Act)
[This Article Added on Sep. 26, 2023]
Article 12(Standard bylaws) #
The standard bylaws to be prepared by the Minister of Justice under Article 28(4) of the Act and the regional standard bylaws to be prepared by the Special Metropolitan City Mayor, a Metropolitan City Mayor, a Special Self-Governing City Mayor, a Do Governor, or a Special Self-Governing Province Governor (hereafter in this Article referred to as "Mayor/Do Governor") under paragraph (5) of that Article shall respectively include the following matters: <Amended on Sep. 26, 2023>
1. Matters concerning the rights and duties of sectional owners;
2. Matters concerning the adoption, amendment, and repeal of the bylaws;
3. Matters concerning the use of sections for exclusive possession related to the common interests of sectional owners;
4. Matters concerning the use, preservation, management, and alteration of the site for building, sections for common use, and appurtenant facilities of a building;
5. Matters concerning contracts entered into by the management body, such as management entrustment contracts;
6. Matters concerning the operation of meetings of the management body;
7. Matters concerning the appointment and dismissal of a manager;
8. Matters concerning the management committee;
9. Matters concerning the officers and employees of the management body;
10. Matters concerning the methods of calculating contribution amounts and expenses for the execution of business affairs of the management body, and the details of collection, expenditure, and accumulation thereof;
11. Matters concerning the method of using revenues obtained by the management body in addition to the matters specified in subparagraph 10;
12. Matters concerning accounting standards and accounting management and accounting audits;
13. Matters concerning measures against persons violating obligations;
14. Other matters necessary for the management of condominium buildings.
Article 13(Exercise of voting rights by electronic means) #
(1) "Means prescribed by Presidential Decree" in Article 38(2) of the Act means any of the following methods: <Amended Dec. 8, 2020; Sep. 26, 2023>
1. A method of exercising voting rights after identity verification through an electronic signature or certificate under subparagraph 2 of Article 2 of the Electronic Signature Act by which the signer's real name can be verified;
1-2. A method of exercising voting rights after identity verification provided by an identity verification agency designated under Article 23-3(1) of the Act on Promotion of Information and Communications Network Utilization and Information Protection, such as identity verification through a mobile phone;
2. Where the bylaws otherwise provide, unlike subparagraph 1 or 1-2, that voting rights may be exercised by methods with relaxed identity verification procedures, such as submission of an electronic document under subparagraph 1 of Article 2 of the Electronic Signature Act, such methods.
(2) Where voting rights may be exercised by electronic means under Article 38(2) of the Act (hereinafter referred to as "electronic voting"), the following matters shall be specifically stated in the notice convening a meeting of the management body: <Amended on Sep. 26, 2023>
1. The website address where electronic voting is to be done;
2. The period during which electronic voting is to be conducted;
3. Other technical matters necessary for electronic voting.
(3) Electronic voting shall be conducted by the day immediately preceding the date of the meeting of the management body, unless otherwise provided by the bylaws or by a resolution of the meeting of the management body.
(4) The management body may designate an agency to manage electronic voting and entrust it with the operation of procedures for exercising voting rights, such as identity verification.
Article 14(Exercise of voting rights in writing) #
(1) When giving a notice convening a meeting of the management body, materials necessary for exercising voting rights in writing shall be attached thereto.
(2) Voting rights in writing may be exercised until a resolution is passed at a meeting of the management body, unless otherwise provided by the bylaws or by a resolution of the meeting of the management body.
Article 15(Exercise of voting rights by proxy) #
(1) A proxy shall submit a document proving the authority to act as proxy to the chairperson before exercising voting rights.
(2) If a single proxy represents several sectional owners, the proxy shall not represent a majority of the sectional owners or a majority of the voting rights.
Article 16(Matters subject to deliberation and mediation by Condominium Buildings Dispute Mediation Committee) #
"Disputes prescribed by Presidential Decree" in Article 52-2(2)7 of the Act means the following disputes:
1. Disputes over the preservation, management, or alteration of the land and appurtenant facilities of a building;
2. Disputes over the method of using a section for exclusive possession prescribed by the bylaws;
3. Disputes over the collection, management, and use of revenues earned by a management body, other than management fees;
4. Disputes over contracts concluded by a management body, such as management entrustment contracts;
5. Other disputes for which the Condominium Buildings Dispute Mediation Committee under Article 52-2(1) of the Act (hereinafter referred to as the "Mediation Committee") deems mediation necessary.
Article 17(Composition of Mediation Committee) #
(1) The Vice Chairperson of the Mediation Committee shall be appointed or commissioned by the relevant Mayor/Do Governor from among the members of the Mediation Committee, upon recommendation of the Chairperson of the Mediation Committee (hereinafter referred to as the "Chairperson").
(2) The term of office of members of the Mediation Committee shall be 2 years.
(3) Except as provided in paragraphs (1) and (2), matters necessary for the composition of the Mediation Committee shall be determined by the Chairperson following a resolution by the Mediation Committee.
Article 18(Operation of Mediation Committee) #
(1) The Chairperson shall convene and preside over meetings.
(2) If the Chairperson is unable to perform his or her duties due to unavoidable reasons, the Vice Chairperson shall act on behalf of the Chairperson, and if the Vice Chairperson of the Mediation Committee is also unable to act on behalf of the Chairperson, the eldest member among the members shall act on behalf of the Chairperson.
(3) When the Chairperson intends to convene a meeting, he or she shall notify each member of the date, time, venue, and agenda of the meeting no later than 3 days prior to the date of the meeting.
(4) If all members consent, the Mediation Committee may be convened without undergoing the procedures for convening a meeting referred to in paragraph (3).
(5) Matters necessary for mediation expenses, excluding expenses under Article 52-10 of the Act, shall be prescribed by ordinances of the Special Metropolitan City, a Metropolitan City, a Special Self-Governing City, Do, or a Special Self-Governing Province. <Amended on Feb. 2, 2021>
(6) Matters necessary for the operation of the Mediation Committee, other than those prescribed in paragraphs (1) through (5), shall be determined by the Chairperson through a resolution by the Mediation Committee.
Article 19(Operation of subcommittees) #
(1) A subcommittee under Article 52-3(4) of the Act (hereinafter referred to as "subcommittee") shall deliberate on and mediate disputes delegated by a resolution of the Mediation Committee.
(2) A subcommittee shall have 1 chairperson, who shall be appointed or commissioned by the relevant Mayor/Do Governor from among the members of the subcommittee, upon recommendation of the Chairperson.
(3) Except as provided in paragraphs (1) and (2), matters necessary for the composition and operation of a subcommittee shall be determined by the Chairperson following a resolution by the Mediation Committee.
Article 20(Mediation procedures) #
(1) The Mediation Committee may separate or consolidate cases if it deems necessary to conduct mediation efficiently.
(2) If the Mediation Committee separates or consolidates cases under paragraph (1), it shall notify the parties thereof in writing without delay.
(3) The Mediation Committee may, if it deems necessary for mediation, request the parties to submit relevant materials such as documentary evidence, or request the parties or witnesses to attend.
(4) Except as provided in paragraphs (1) through (3), matters necessary for mediation procedures shall be determined by the Chairperson following a resolution by the Mediation Committee.
Article 21(Defect diagnosis and appraisal organizations) #
"Safety diagnosis organizations, specialized defect appraisal organizations, etc., prescribed by Presidential Decree" in Article 52-10(1) of the Act means the following organizations; provided, specialized defect appraisal organizations shall be limited to organizations specified in subparagraphs 1 through 4: <Amended on Jan. 16, 2018; Dec. 1, 2020; Feb. 2, 2021>
1. Housing-related affiliated research institutes (limited to permanent research institutes) of universities and industrial universities under subparagraphs 1 and 2 of Article 2 of the Higher Education Act;
2. The Korea Institute of Civil Engineering and Building Technology under subparagraph 9 of the Appendix of the Act on the Establishment, Operation and Fostering of Government-Funded Science and Technology Research Institutes;
3. National or public housing-related testing and inspection laboratories;
4. The Korea Authority of Land Infrastructure and Safety under the Act on the Korea Authority of Land and Infrastructure Safety;
5. Architects who have reported under Article 23(1) of the Certified Architects Act;
6. Professional engineers who have registered under Article 6(1) of the Professional Engineers Act;
7. Specialized safety diagnosis organizations in the field of construction registered under Article 28 of the Special Act on the Safety Control and Maintenance of Establishments;
8. Engineering business entities in the relevant field who have reported under Article 21 of the Engineering Industry Promotion Act.
Article 22(Bearing of expenses for defect diagnosis) #
The expenses under Article 52-10(1) and (2) of the Act shall be paid in advance by the parties in accordance with the ratio prescribed by agreement between the parties; provided, if no agreement is reached between the parties on the bearing of expenses, the Mediation Committee shall determine the parties' respective shares of expenses. <Amended on Feb. 2, 2021>
Article 23(Imposition of administrative fines) #
The criteria for the imposition of administrative fines under Articles 66(1) through (3) of the Act shall be as specified in the Appendix.
[This Article Added on Feb. 2, 2021]